Comparing CompuMed (OTCMKTS:CMPD) and EVERTEC (NYSE:EVTC)

CompuMed (OTCMKTS:CMPD) and EVERTEC (NYSE:EVTC) are both medical companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, earnings, risk, profitability, institutional ownership, dividends and valuation.

Insider and Institutional Ownership

96.8% of EVERTEC shares are held by institutional investors. 22.0% of CompuMed shares are held by insiders. Comparatively, 0.8% of EVERTEC shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

CompuMed has a beta of 0.06, suggesting that its share price is 94% less volatile than the S&P 500. Comparatively, EVERTEC has a beta of 1.11, suggesting that its share price is 11% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations and price targets for CompuMed and EVERTEC, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CompuMed	0	0	0	0	0.00
EVERTEC	0	2	2	0	2.50

EVERTEC has a consensus target price of $35.67, indicating a potential downside of 3.94%. Given EVERTEC’s stronger consensus rating and higher possible upside, analysts plainly believe EVERTEC is more favorable than CompuMed.

Valuation and Earnings

This table compares CompuMed and EVERTEC”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CompuMed	$6.22 million	0.81	$190,000.00	$0.17	22.35
EVERTEC	$845.49 million	2.79	$79.72 million	$1.73	21.46

EVERTEC has higher revenue and earnings than CompuMed. EVERTEC is trading at a lower price-to-earnings ratio than CompuMed, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares CompuMed and EVERTEC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CompuMed	3.44%	6.96%	5.06%
EVERTEC	10.20%	33.01%	8.85%

Summary

EVERTEC beats CompuMed on 13 of the 14 factors compared between the two stocks.

About CompuMed

CompuMed, Inc., an enterprise telemedicine solutions company, provides clinical care services for patients and medical facilities. It offers telecardiology and teleradiology services that provide real-time access to U.S. Board-Certified specialists through cloud-based technology and integrated medical devices to medical facilities worldwide. The company also provides enterprise telemedicine solutions; a suite of telecardiology services and diagnostic exam interpretations for pediatric and adult patients, including electrocardiogram (ECG) devices, echocardiogram, ECG, vascular, holter, nuclear, and video consults; and reading, transcription, reporting, storage, and video consultations in the areas of Vscan, X-ray, ultrasound, mammography, computed tomography, magnetic resonance imaging, and radiologist video consults. It also offers OsteoGram software that works in combination with standard or digital X-ray equipment to support osteoporosis screening, diagnosis, and therapy monitoring. In addition, the company provides mobile ECG and ultrasound solutions that provide patients with immediate access to its board-certified specialists; and medical devices. It serves organ procurement organizations, rural healthcare, and correctional healthcare industries. CompuMed, Inc. was founded in 1973 and is headquartered in Los Angeles, California.

About EVERTEC

EVERTEC, Inc. engages in transaction processing business and financial technology in Latin America and the Caribbean. The company operates through four segments: Payment Services – Puerto Rico & Caribbean; Latin America Payments and Solutions; Merchant Acquiring; and Business Solutions. It provides merchant acquiring services, which enable point of sales and e-commerce merchants to accept and process electronic methods of payment, such as debit, credit, prepaid, and electronic benefit transfer (EBT) cards. In addition, the company offers payment processing services that enable financial institutions and other issuers to manage, support, and facilitate the processing for credit, debit, prepaid, automated teller machines, and EBT card programs; credit and debit card processing, authorization and settlement, and fraud monitoring and control services to debit or credit issuers services. Further, it provides business process management solutions comprising core bank processing, network hosting and management, IT professional, business process outsourcing, item and cash processing, and fulfillment solutions to merchant, fintech, financial institutions, and corporate and government customers. Additionally, the company owns and operates the ATH network, a personal identification number debit networks. It manages a system of electronic payment networks that process approximately six billion transactions. The company sells and distributes its services primarily through direct sales force. It serves financial institutions, merchants, corporations, and government agencies. EVERTEC, Inc. was founded in 1988 and is headquartered in San Juan, Puerto Rico.